VANCOUVER, British Columbia, March 14, 2005 (PRIMEZONE) -- Montana Oil and Gas, Inc. (a Nevada Corporation) (Pink Sheets:MOGI) President Peter Sanders would like to announce that a decision has been made to explore further opportunities in the Alberta Canada region where the company currently has interests in three projects. The company has become aware of existing opportunities to partner in, or acquire leases, which may include producing wells and or exploratory programs which will strengthen Montana's position with energy, cash oriented investment groups.
One of the most effective ways to acquire financial partners for drilling programs involves existing production of oil and or gas in these programs. This will significantly lessens the risk for the investment group, hence encouraging financial participation as well as speeding up the process of commitment by the investment group.
Peter Sanders, Montana President stated, "We at Montana are aggressively pursuing all possible opportunities for growth and success. Peter also notes "that while these opportunities are very exciting for the future of the company our current projects are also our first priority."
The Sylvan lake project will begin very shortly the company and its partners have secured a drilling rig and are only waiting for a temporary road ban to be lifted. The rig is currently sitting in Red Deer Alberta a mere 30 miles from Sylvan Lake. The initial well is a 7,200-foot Peskisko Sand test that is prospective for oil and gas. It is expected to take approximately 10 to 12 days to drill and test the initial well. Each development well has probable production of 150 barrels of oil per day and 750 million cubic feet gas per day with reserves in excess of 1 billion cubic feet gas and 300,000 barrels of oil. There are four other pay zones that are prospective for gas. The average well in the Sylvan Lake Field has produced 500 barrels of oil per day with over one million cubic feet of gas per day. If successful, the company intends to drill up to 4 more wells on these land sections. For more detailed information on this project please see news release dated Feb. 7th, 2005. An announcement will be made immediately upon the commencement of drilling.
The company is also pleased to report that the tie in of its West Lock Project did start several days ago and it is anticipated that this will be complete some time in the next couple of days. Peter Sanders notes " The completion and tie in of the West Lock project has ran into numerous delays, however, this well will be tied in and the company will be selling gas by next week thus generating cash flow for the company" The company will update its shareholders when it has heard from its partner in regards to completion.
Except for statements of historical fact, the information presented herein constitutes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include general economic and business conditions, the ability to acquire and develop specific projects, the ability to fund operations and changes in consumer and business consumption habits and other factors over which Montana Oil and Gas Inc. has little or no control.
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For more information, please visit our website www.montanaoil.com